World Nutraceutical Ingredients to 2013

Abstract

Demand for nutraceutical ingredients worldwide is projected to advance 6.2 percent annually to $21.8 billion in 2013, serving a $236 billion global nutritional product industry. Based on broad applications and increasing clinical evidence of health benefits and safety, the best growth opportunities will emerge in soy protein nutrients; the functional food and beverage additives lutein, lycopene, omega-3 fatty acids, probiotics and sterol esters; the essential minerals calcium and magnesium; the herbal extracts garlic and green tea; and the non-herbal extracts chondroitin, glucosamine and coenzyme Q10.

China and India will emerge as the most rapidly expanding nutraceutical ingredient markets as strong economic growth allows them to upgrade and diversify food, beverage and drug production capabilities. By country, the United States will continue to be the largest global consumer of nutraceutical ingredients due to the broad, increasing range of nutritional preparations and natural medicines produced domestically. China will remain the largest worldwide producer based on its extensive fine chemicals industry and aggressive pursuit of exports.

World demand for nutrients and minerals will reach $12.6 billion in 2013, up 6.4 percent annually from 2008. Soy proteins and isoflavones, psyllium fibers, omega-3 fatty acids, probiotics, lycopene, calcium and magnesium will see the fastest gains based on widely accepted health benefits and expanding applications in meal supplements and functional foods and beverages.

Global demand for nutraceutical vitamin ingredients will increase 5.9 percent annually to nearly $7.1 billion in 2013. Natural vitamin E formulations derived from non-genetically modified plants will post the strongest gains due to their acceptability to the European Union and other countries (e.g., Brazil) that limit the production of edible compounds through biotechnology. Natural formulations of beta carotene (vitamin A) will also fare well in the global marketplace based on efficacy advantages over synthetic ingredients, especially in multivitamin supplements and adult and pediatric nutritionals. Ongoing controversy about potentially toxic side effects will continue to moderate overall growth opportunities for nutraceutical vitamin ingredients.

Increasing acceptance by consumers and medical professionals will push world demand for herbal and non-herbal extracts up 6.2 percent annually to $2.2 billion in 2013. Conflicting clinical and scientific testing results about actual health benefits will inhibit faster gains in the overall product group. Garlic for improving cardiovascular functions, saw palmetto for benign prostatic hyperplasia, green tea for cancer prevention and weight loss, and black cohosh for postmenopausal symptoms will be among the herbs continuing to fare well in the worldwide marketplace. Glucosamine (in combination with chondroitin) will generate the strongest growth in demand among non-herbal extracts due to proven benefits in the treatment of moderate to severe arthritic conditions.

Study coverage

This new Freedonia industry study, World Nutraceutical Ingredients, presents historical demand data (1998, 2003, 2008) plus forecasts for 2013 and 2018 by product, world region and for 36 countries. The study also considers market environment factors, details company market share and profiles global industry competitors.

Freedonia' s methods involve:

• Establishing consistent economic and market forecasts
• Using input/output ratios, flow charts and other economic methods to quantify data
• Employing in-house analysts who meet stringent quality standards
• Interviewing key industry participants, experts and end users
• Researching a proprietary database that includes trade publications, government reports and corporate literature